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Ease of Doing Business in

Tonga

Tonga Download Profile (1694.5KB, pdf)
Region East Asia & Pacific
Income Category Lower middle income
Population 106,170
GNI Per Capita (US$) 4,067
City covered Nukualofa

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 85 76 down
9
63.58 63.83 down
0.25
Starting a Business 55 48 down
7
90.85 90.75 up
0.10
Dealing with Construction Permits 14 7 down
7
80.96 83.79 down
2.83
Getting Electricity 67 64 down
3
76.29 76.26 up
0.03
Registering Property 158 156 down
2
44.64 44.64
-
Getting Credit 44 42 down
2
65.00 65.00
-
Protecting Minority Investors 123 118 down
5
45.00 45.00
-
Paying Taxes 80 78 down
2
73.76 73.76
-
Trading across Borders 100 98 down
2
68.20 68.20
-
Enforcing Contracts 92 91 down
1
57.32 57.32
-
Resolving Insolvency 132 131 down
1
33.82 33.60 up
0.22

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

67

DB 2016 Rank:

64

Change in Rank:

down3

DB 2017 DTF (% points):

76.29

DB 2016 DTF (% points):

76.26

Change in DTF (% points):

up0.03

STANDARDIZED CONNECTION
Price of electricity (US cents per kWh) 33.2
Name of utility Tonga Power Ltd.
City Nukualofa
Indicator Tonga East Asia & Pacific OECD high income
Procedures (number) info_outline 5 4.5 4.8
Time (days) info_outline 42 72.9 76.2
Cost (% of income per capita) info_outline 85.9 714.6 62.5
Reliability of supply and transparency of tariff index (0-8) info_outline 4 3.6 7.5
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Apply for and receive electrical permit

    Agency: Electricity Commission

    The Electrical permit is obtained before internal wiring has started and is not a part of the Building Permit. It is a requirement while submitting application with the utility. Only licensed electricians/contractors can apply for the permit.

    7 calendar days TOP 2,185
    2

    Submit application to Tongapower and await site inspection

    Agency: Tongapower

    Customer submits necessary documentation along with application - forms of ID, land details, land lease details, drivers License, passport, contact address, phone details, other power accounts held. Also submit Electrical Permit obtained from Electricity Commission . This permit is applied for before starting internal wiring. An inspection is conducted by the EC.

    7 calendar days TOP 0
    3

    Receive site inspection from Tongapower and await estimate

    Agency: Tongapower

    Customer is normally required to be present during site estimate so that the engineer can, if needed, seek any clarifications about the site. The engineer from Tongapower ascertains the location, closest point of supply, and meter location.

    7 calendar days TOP 0
    4

    File certificate of completion for internal wiring and receive inspection and certificate

    Agency: Electricity Commission

    This inspection is conducted after all wiring is done. The contractor submits Form 4, Certificate of Completion of Installation, attesting that all wiring has been completed. The Inspector after conducting inspection, signs off on this form.

    7 calendar days TOP 0
    5

    Submit compliance certificate to Tongapower and receive external connection, meter installation and electricity flow

    Agency: Tongapower

    Cost breakup includes materials - simple connection, 3 phase CT meter, labor, meter insurance, meter installation, transport. Meter insurance is reimbursed upon disconnection of service. Meter insurance is paid as a bond and reimbursed at termination of contract. No interest is paid on this bond.

    14 calendar days TOP 5,175

  • Measure of quality
    Answer
    Reliability of supply and transparency of tariff index (0-8) 4.0
    Total duration and frequency of outages per customer a year (0-3) 0.0
    System average interruption duration index (SAIDI) 18.75
    System average interruption frequency index (SAIFI) 14.73
    Mechanisms for monitoring outages (0-1) 1.0
    Does the distribution utility use automated tools to monitor outages? Yes
    Mechanisms for restoring service (0-1) 1.0
    Does the distribution utility use automated tools to restore service? Yes
    Regulatory monitoring (0-1) 1.0
    Does a regulator—that is, an entity separate from the utility—monitor the utility’s performance on reliability of supply? Yes
    Financial deterrents aimed at limiting outages (0-1) 0.0
    Does the utility either pay compensation to customers or face fines by the regulator (or both) if outages exceed a certain cap? No
    Communication of tariffs and tariff changes (0-1) 1.0
    Are effective tariffs available online? Yes
    Link to the website, if available online http://www.tongapower.to/NewsRoom/tariff_decrease_march2015.aspx
    Are customers notified of a change in tariff ahead of the billing cycle? Yes
    Answer
    Price of electricity (US cents per kWh) 33.2

    Note:

    If the duration and frequency of outages is 100 or less, the economy is eligible to score on the Reliability of supply and transparency of tariff index.

    If the duration and frequency of outages is not available, or is over 100, the economy is not eligible to score on the index.